American Beacon Aberdeen Municipal High Income ETF (AMHI)

Overview

The fund described operates primarily in the field of investment, with a focus on derivatives and futures. Its goal is to generate returns for its investors through the strategic use of various derivative instruments. These instruments are based on an array of underlying assets, including interest rates, equity indexes, currencies, and government bonds. By investing in these financial products, the fund seeks to capitalize on global market trends and fluctuations. It is important to note that the fund is categorized as non-diverse, indicating a concentrated investment strategy in these types of financial instruments.

Products and Services

The fund's investment approach encompasses a wide range of derivative financial instruments, detailed as follows:

• Futures: This includes a focus on interest rate futures, equity index futures, non-U.S. currency futures, and government bond futures, such as treasury futures. These are contracts to buy or sell the underlying asset at a predetermined future date and price.
• Foreign currency forward contracts: These agreements allow the fund to buy or sell currencies at a future date at a price agreed upon today. It includes the use of non-deliverable forwards (NDFs), which are settled in cash against the net difference between the contracted rate and the prevailing market rate at maturity, without the physical delivery of currency.
• Other derivative instruments: The fund may also invest in a variety of other derivative instruments based on securities, indices, and currencies. These instruments are designed to derive their value from the performance of an underlying asset or benchmark, providing the fund with the flexibility to take positions in anticipation of market movements.